China Bohai Bank contributes to $291.2 million syndicated loan for 900MW Bin Qasim Power Station (BQPS-III) Project (Linked to Record ID#96176, #100617, and #100618)

CCBB, BOC, China CITIC bank and China Bohai Bank contributions to $291.2 million syndicated loan for 900MW Bin Qasim Power Station (BQPS-III) Project On September 13, 2021, Bin Qasim 3 CCGT — a special purpose vehicle and a wholly owned subsidiary of K-Electric — signed two syndicated loan agreements worth $414.4 million for the 900MW Bin Qasim Power Station (BQPS-III) Project: a $291.2 million Sinosure-covered syndicated loan tranche and a $123.2 million Euler Hermes-covered syndicated loan tranche.

Financial close was achieved in April 2022.

The Tianjin Branch of China Bohai Bank Co., Ltd., the Harbin Branch of China Citic Bank Corporation Limited, the Heilongjiang Branch of China Construction Bank Corporation (CCB Heilongjiang), the Shanghai Branch of Bank of China, Credit Suisse, Deutsche Bank, and Standard Chartered participated in the $291.2 million Sinosure-covered syndicated loan tranche.

Credit Suisse, Deutsche Bank, Standard Chartered, and AKA Ausfuhrkredit-Gesellschaft mbH participated in the $123.3 million Eules Hermes-covered syndicated loan tranche. Both loan tranches carry 13-year maturities. The Sinosure-covered syndicated loan tranche carries an interest rate of LIBOR plus an unknown margin.

The purpose of the project is to construct a gas-fired combined cycle power plant with two 450 MW power generation units — known as the 900 MW Bin Qasim Power Station (BQPS-3) — in Karachi. Siemens AG and Harbin Electric International Company are the contractors responsible for project implementation.

K-Electric signed project (EPC) contracts with Siemens AG and Harbin Electric International in October 2019. A Notice to Proceed (NTP) was issued to the EPC contractors in December 2019.

Then, on March 14, 2022, BQPS-III successfully completed the firing of the first 450 MW power generation unit ('Unit 1'). The second 450 MW power generation unit ('Unit 2') was connected to the grid on December 21, 2022. Record ID#96176 captures the estimated financial commitment of China Construction Bank Corporation.

Record ID#100618 captures the estimated financial commitment of China CITIC Bank. Record ID#100619 captures the estimated financial commitment of China Bohai Bank. Record ID#100617 captures the estimated financial commitment of Bank of China.